Sempra Infrastructure, a subsidiary of Sempra, has entered into an agreement with a consortium comprising Tokyo Gas Company, Osaka Gas Company, Toho Gas Company, and Mitsubishi Corporation to jointly assess a proposed project for the production of e-natural gas, a form of carbon recycling, on the U.S. Gulf Coast.
If successful, this initiative could mark the inaugural segment of an international supply chain for liquefied e-natural gas, a synthetic gas derived from renewable hydrogen and carbon dioxide.
The inclusion of Sempra Infrastructure in this collaboration reflects the collective commitment of these companies to drive the energy transition within the global liquefied e-natural gas market.
“Sempra Infrastructure is excited to bring its essential infrastructure development experience to this collaboration with Tokyo Gas, Osaka Gas, Toho Gas and Mitsubishi Corporation. The project would allow existing natural gas infrastructure, including the global liquefied natural gas supply chain and the gas distribution systems in nations across the world, to be used as the backbone for the delivery of a long-term, carbon-neutral fuel,” said Justin Bird, CEO of Sempra Infrastructure. “Sempra Infrastructure has strong strategic alignment with the goals of the consortium and is well-positioned to support this innovative opportunity by building on what we do well: developing energy infrastructure that provides access to safe, secure, affordable and lower and zero-carbon energy for our global partners.”
“Tokyo Gas, Osaka Gas, Toho Gas and Mitsubishi Corporation intend to realise the world’s first large-scale production and international supply chain of e-natural gas and have been progressing feasibility work. The U.S. Gulf Coast is an ideal location for this type of facility and we are pleased to partner with Sempra Infrastructure, a company with a reliable and qualified track-record of developing energy infrastructure in this region. We look forward to the development of this project as a truly global consortium,” said Kentaro Kimoto, Representative Executive Officer of Tokyo Gas, Keiji Takemori, Senior Executive Officer of Osaka Gas, Takeo Haigo, Managing Executive Officer of Toho Gas, and Masaru Saito, Executive Vice President of Mitsubishi Corporation.
The proposed project is anticipated to produce 130,000 tonnes of e-natural gas per year that would be liquified to become liquified e-natural gas via Mitsubishi Corporation’s tolling capacity at the Cameron LNG terminal in Southwest Louisiana and exported to Japan, where the product is commonly referred to as e-methane. The proposed project is anticipated to include the production or procurement of green hydrogen, as well as the construction of facilities to produce the e-natural gas.
Notably, this initiative aligns with the objectives outlined in the Memorandum of Cooperation between the U.S. Department of Energy and Japan’s Ministry of Economy, Trade and Industry, focusing on carbon capture, utilisation, storage, conversion, recycling, and carbon dioxide removal. The proposed project stands as a significant step toward meeting these objectives and has the potential to complement the memorandum, provided that policy frameworks acknowledge e-natural gas as a carbon-neutral fuel.